Rental Yield

Director Andrew Gill explained yield is the landlord’s return on investment and accounts for rents received and any increase in property value during a year.

The firm has calculated in the year to April 2015, the average buy to let saw a return of £15,503.

Rents accounted for £8,247 of this amount, while a rising house value of £7,256 made up the rest.

However, the current rent and home price trend suggests that at the same time next year, the yield will have fallen to £6,256, with rents accounting for £9,292, while property values fall an average of £3,036.